Budget shortages are something that we will expect from Uncle Sam. Without years of too many expenses, the federal government would not be on trillions of dollars in debt. But the last monthly Treasury declaration provided a rare – and welcome – surprise.
In April 2025, the US government gathered $ 850.2 billion in revenue and issued $ 591.8 billion, resulting in a monthly budget surplus of $ 258.4 billion.
That is not just a surplus-it is the first monthly surplus of the tax year 2025 (which started in October 2024), and the second largest monthly surplus in American history, behind only April 2022's $ 308.2 billion surplus.
Does this mean that President Trump's plan works?
According to the US Department of Finance, the surplus was powered by “large individual tax deposits”, where April is the expiry date for definitive payments on taxes for last year and the first delivery of quarterly estimated taxes for many people and companies.
Only individual income taxes brought in $ 537 billion – by far the largest contribution to the government income for April. Social insurance and pension certificates followed $ 184 billion, while corporate taxes added $ 94 billion.
The customs tasks – a reflection of Trump's rates – generated $ 15.6 billion in April, more than double the $ 6.3 billion collected in the same month last year. Nevertheless, tariff income remains modest compared to other important contributors.
On the expenditure side, the largest edition for the month was the social security of $ 132 billion, followed by $ 89 billion in net interest, $ 82 billion for Medicare, $ 76 billion for health and $ 70 billion for national defense.
Despite the hefty surplus, one strong month is not enough to reverse the wider tax trend. From 1 October to 30 April, the US government raised $ 3,110 trillion in income, but spent $ 4,159 trillion – which resulted in a shortage of $ 1,049 trillion for the tax year to date.
So it is no surprise that the national debt continues to rise. At the moment, the total outstanding debt of the US government is no less than $ 36,212 trillion.
The collection meals? To run a surplus, you have to earn more than you spend. That can be a big assignment for a government that juggles countless programs – but for individuals it is a surprisingly simple (and feasible) strategy.
Here are a few ways to stimulate your own tax health in 2025 – and then.
If you want to improve your finances, the first step is to understand where your money goes every month. Follow all your costs for 30 days and then sort them into two categories: Supplies – such as rent, groceries, utilities and health care – and discretionary editions, such as eating out, entertainment, shopping and hobbies.
This breakdown gives you a clear picture of your spending habits and helps to identify areas where you can cut back. But cropping waste is not just about skipping lattes or collection meals. Even in essential categories – such as car insurance or banking – you may spend more than necessary. The good news? With a little research, those costs can often be considerably reduced.
Read more: You have probably been paid too much for this 1 'must-have' cost and thanks to Trump's rates, your monthly account can rise even higher. Here is how 2 minutes can protect your wallet now
Car insurance is a major recurring costs and many people pay too much without realizing it. According to Forbes, the national average car insurance costs in 2024 was $ 2,150 per year (or $ 179 per month).
However, rates can vary greatly, depending on your state, the management of history and vehicle type, and you could pay more than necessary.
More Americans are also confronted with higher car issues, so it is important to arrange vehicle -related costs where you can.
Instead of staying with the same provider, you can try to take a few minutes to compare quotes from multiple insurers to ensure that you get the best deal.
Bank costs can quietly empty your finances over time. Even comedian Bill Bur once complained to Joe Rogan that his bank took $ 28 out of his account every month.
In reality, many traditional banks charge $ 5 to $ 35 a month in maintenance costs, redstand costs and other hidden costs.
Online banks, on the other hand, usually offer lower costs (or none at all), because they do not have the same overhead costs as institutions with physical settings.
Many online banks also offer high-interest control and savings accounts, so that you can earn more with your inactive cash money while you avoid valuable costs.
Lowering the costs is a way to create a surplus – but increasing income can be just as powerful. And although asking for a wage increase does not always lead to results, there are ways to earn money without clocking extra hours. That is where passive income comes in: money that continues to flow with minimal daily efforts.
One of the most popular strategies for passive income? Property.
If you have a rental properties, tenants pay you every month – offer a steady electric cash flow. It is also a proven hedge against inflation, because both real estate values and rental income tend to rise with the costs of living.
That said, being a landlord is not always easy. You are responsible for finding and screening tenants, collecting rent and handling maintenance and repair requests (from your own pocket) – and that assumes that you can save sufficiently for a down payment and get a mortgage to buy the property in the first place.
The good news? Nowadays you don't have to buy real estate to pick the benefits of investments in real estate. For example, crowdfunding platforms enable daily investors to possess shares in rental properties without the major down payments or management headache that are traditionally associated with property ownership.
As an alternative, immovable real estate trusts (REITs) offer a different path for those who want to be exposed to this activa class.
This article only offers information and may not be conceived as advice. It is provided without any form of warranty.
